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Philosophy » Supplier Performance

Supplier Performance

Description

Supplier Performance is an indicator that evaluates performance of suppliers, usually against a set of metrics that cover areas such as: the relative cost of products, quality of products against agreed specifications, engineering, and purchasing, based on an agreed set of measurements to drive continuous improvement in value and operations.

Common Metrics (Top 3)

  1. Supplier Delivery Performance
  2. Procurement Cost per Order
  3. Purchase Price Variance

More Supplier Performance common metrics.

Best Practice (Top 4)

  1. Vendor Managed Inventory
  2. Global Sourcing
  3. Supplier Communication
  4. Carrier Agreements

More Supplier Performance best practices.

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